Indian Funds Go To Special Fund

June 18, 2000|By ROBERT NOLIN Staff Writer

COCONUT CREEK — A million dollars a year in free money is an awfully tempting windfall. So officials here have created a special fund to ensure $1 million they collect annually from the Seminole Indians is not misspent.

The money is paid out by the Indians as part of a deal between the tribe and the city to offset any impact on Coconut Creek resulting from the Seminoles' new casino, which features video slot machines, low-stakes poker and lightning bingo.

As an independent nation, the tribe was able to build the casino, outlawed on any non-tribal lands, on five acres it owns on the northeast corner of State Road 7 and Sample Road. While they could have built the casino project without Coconut Creek's approval, the Seminoles opted to abide by city building requirements and pay the city $1 million annually.

The money is to help pay for such disruptions to the city as increased traffic or extra police patrols. So far, no disruptions have occurred.

"The whole intent is to offset that impact," City Manager John Kelly said. "At this point, we've virtually had no impact."

To make sure the money is preserved for community improvement, the City Commission recently established the Community Improvement Fund, into which the gambling money will be deposited.

"That money will be going into a fund for the purpose of improving the community," said Mayor Marilyn Gerber.

The money could be spent on land to acquire parks, economic development, or the beautification of public property such as street medians. The money may not be used to help fund standard operating costs for the city. Nor will it be frittered away on "nickel and dime stuff," Kelly said.

Interest on the yearly million, however, will be deposited into the city general fund, which pays for the city's operation.

A special vote of four of the five commissioners is needed to remove money from or dissolve the fund.

"Is that to make changes more difficult?" Commissioner Harold Sacks asked.

"Exactly," said City Attorney Paul Stuart.

"Assurance was given to the community that we were going to make sure these monies were properly spent," Kelly said. "We want to make sure the money is put in the proper account."

Robert Nolin can be reached at rnolin@sun-sentinel.com or 954-572-2024.